IIBRARV 
if  THE 


CONNECTICUT 


AND   THE 


NEW    HAVEN    ROAD 

ADDRESS 

TO 

THE  CHAMBER  OF  COMMERCE 

OF 

NEW  HAVEN 


BY 

HOWARD  ELLIOTT 

Chief  Executive  Officer 

of 

THE  NEW  YORK,  NEW  HAVEN  AND  HARTFORD 

and 
NEW  ENGLAND  TRANSPORTATION  LINES 


YALE  UNIVERSITY  DINING  HALL 

NEW  HAVEN,  CONNECTICUT 
November    19,    1913 


•#•••'• 


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Mr.  President,  and  Gentlemen  of  the  Nezv  Haven  Chamber  of 
Commerce: 

To  be  your  guest  and  to  be  allowed  to  speak  to  a  New  Haven 

and  Connecticut  audience  is  a  great  pleasure  and  privilege  to  any 

-man  interested  in  the  development  of  New  England  and  is  par- 

'-■;ticularly  so  to  me.     For  I  have  many  associations  with  this  part 

7  of  the  country,  although  so  much  of  my  working  life  since  July 

t!^5th,  1880,  has  been  spent  west  of  the  Mississippi  River.     When 

'^I  was  a  very  small  child  my  family  lived  on  Prospect  Street  in 

the  house  now  occupied  by  Mrs.  Davies.     Later  I  visited  many 

times  my  aunt,  Mrs.  Samuel  E.  Foote,  who  had  a  fine  place  on 

Whitney  Avenue,   now  much   reduced   in   size   because   of   the 

demand  for  homes  along  that  beautiful  street. 


'J3 


Connecticut     My  father  was  born  in  Guilford  and  rests  there  in 
Ancestry  the  little  burying  ground  from  which  you  can  see 

the  blue  waters  of  Long  Island  Sound,  and  in  the 
same  plot  are  my  two  brothers  and  many  grandparents.  Many 
of  my  ancestors  went  to  the  great  college  over  which  our  good 
friend  Dr.  Hadley  presides  so  ably,  and  so  far  the  only  difference 
between  us  in  our  pleasant  and  strenuous  association  as  fellow 
directors  in  the  New  Haven  road  arises  from  the  fact  that  fate 
took  me  to  Harvard,  the  graduates  of  which  complimented  me 
a  few  years  ago  by  making  me  an  Overseer,  or  what  for  Yale 
is  a  Trustee. 

My  only  grudge  against  Yale  is  that  when  I  was  a  Harvard 
Freshman  I  played  on  the  nine.  We  came  to  New  Haven  and 
the  Yale  Freshmen  nine  beat  us  8  to  i !  But  when  they  came  to 
Cambridge  we  beat  them  11  to  4.  Our  money  gave  out  and  we 
never  played  the  third  game.  So  a  great  question  was  never 
y  settled! 

^       My  first  Connecticut  ancestor,  Joseph  Eliot,  who  came  from 

Northampton,  Mass.,  to  Guilford  in  1664,  was  prominent  in  edu- 

{•  cational  matters  in  those  early  days,  and  there  is  now  a  Scholar- 

^  ship  in  Yale  known  as  "The  Joseph  Eliot  Memorial  Scholarship," 

,   founded  in  his  honor  by  contributions  from  his  many  descendants 

I ,  vyho  were  interested  in  the  welfare  of  Yale ;    and  my  cousin,  the 

'  widow  of  the  well  beloved  Prof.  William  G.  Sumner,  lives  here. 

y" Joseph's  father  was  John  Eliot  of  Roxbury,  Mass.,  known  as 

\j  "The  Apostle  to  the  Indians"  and  his  father  was  Bennett  Elliott, 

'^  of  Widford,  Hertford  County,  England. 

r{<      Somewhere  in  the  i8th  century  my  branch  of  the  family  spelled 

^"^  their  name  with  two  "Ls"  and  two  "Ts,"  and  I  have  stuck  to  it, 

believing  that  what  a  man  was  and  did  was  more  important  than 

the  spelling  of  his  name. 

3 


My  people  are  connected  by  marriage  with  many  of  those  good 
old  sturdy  Connecticut  families  which  have  had  their  share  of 
the  work  in  shaping  the  history  and  development  of  this  Com- 
monwealth. Mary  Wyllys,  a  grandmother,  was  the  daughter  of 
Samuel  Wyllys,  for  thirty-four  years  a  Magistrate  of  Hartford, 
upon  whose  farm,  so  Trumbull,  the  Connecticut  historian  says, 
stood  that  oak  tree  in  which  your  charter  was  said  to  have  been 
hidden  when  it  was  taken  from  the  Council  Chamber  at  the  time 
it  was  called  for  by  Sir  Edmund  Andros. 

Mary  Leete,  another  grandmother,  and  granddaughter  of 
William  Leete,  Governor  of  Connecticut  in  1676;  the  Hills,  the 
Wards,  the  Betts,  the  Footes.  all  good  Connecticut  names,  appear 
in  the  list  of  grandparents,  uncles,  aunts  and  cousins,  and  so,  at 
the  risk  of  wearying  you  with  some  personal  history,  I  am 
pointing  out  that  I  have  much  to  interest  me  and  draw  me  to 
Connecticut  and  to  New  Haven  in  addition  to  my  connection 
with  the  great  railroad  that  makes  its  home  and  headquarters 
here. 


The  State  and  Here  6,770  employes  make  their  home,  and  here 
the  Railroad  I  have  one  of  the  three  offices  that  I  maintain, 
although  the  Directors  thought  it  best  for  me 
to  live  in  Boston.  Here  live  five  prominent  Directors  of  the 
road  including  James  H.  Hustis,  the  President  of  the  Road, 
James  S.  Hemingway,  A.  Heaton  Robertson,  Frederick  F. 
Brewster,  and  Dr.  Arthur  T.  Hadley,  named  in  the  order  f)f 
their  election  to  the  Board.  In  Connecticut  live  a  majority  of 
the  Board  of  Directors,  having  power  to  approve  and  disapprove 
policy  and  management : — a  heavy  responsibility  at  all  times  and 
especially  so  when  there  are  so  many  complicated  questions  to 
be  decided. 

To  anyone  connected  with  the  New  Haven  road,  bondholder, 
stockholder,  director,  officer  or  employe,  the  growth  and  welfare 
of  the  State  of  Connecticut  is  of  vital  importance,  and  the  inter- 
ests of  state  and  railroad  are  so  interwoven  that  you  cannot 
permit  hurt  to  one  without  harming  the  other — a  simple  fact, 
that  is  frequently  lost  sight  of  by  those  who  unthinkingly  attack 
the  transportation  interests  of  their  community.  The  New 
Haven  owns  or  operates  942  miles  of  the  i.ooo  miles  of  steam 
road  in  the  state,  and  is  interested  in  separately  operated  trolley 
lines  of  605  miles  out  of  a  total  of  911  miles  in  the  state.  There 
are  14.609  employes  of  the  steam  roads.  4.335  in  the  trolley  lines 
and  650  in  the  steamer  lines  living  in  Connecticut,  or  nearly 
20,000  persons,  representing,  with  their  families  and  dependents, 
at  least  90,000  of  your  population. 


The  Railroad  Of  the  money  collected  in  Connecticut  for 
as  an  Industry  transportation  furnished,  more  than  $16,000,- 
000  in  wages  is  returned  annually,  and  nearly 
$1,700,000  is  returned  each  year  in  taxes.  What  rejoicing  there 
would  be  if  through  the  efforts  of  a  commercial  club  or  business 
men's  league  a  new  industry  could  be  brought  into  a  community 
that  would  employ  20,000  people,  pay  $16,000,000  in  wages  and 
$1,700,000  in  taxes.  Bonuses  would  be  offered,  town  lots  would 
rise  and  there  would  be  increased  activity  in  many  directions, 
both  in  city  and  country. 

This  is  true  about  the  railroad.  In  its  building  stage  people 
hail  it  as  a  benefactor,  communities  receive  it  with  open  arms; 
but  after  it  is  built  people  forget  the  conditions  and  difficulties 
of  operation  and  are  too  ready  to  complain  and  criticise. 

Here  in  Connecticut  and  in  New  Haven  I  believe  the  sentiment 
of  the  people,  on  the  whole,  is  in  favor  of  fair  treatment  to  the 
transportation  business.  In  this  state  and  city  you  can  give 
eft"ect  to  that  feeling  by  using  your  influence  to  silence  unfair 
criticism  and  to  set  an  example  to  all  New  England,  of  helping 
the  road  in  a  trying  time  in  its  history.  In  the  abstract  everyone 
wants  the  New  Haven  road  to  be  the  best  in  the  country,  and  it 
can  be  with  only  a  little  help  from  each  individual. 


Interdependence     Mr.   Clark,   the  Chairman   of  the   Interstate 
of  Interests  Commerce  Commission,  said  recently: 

"Even  if  it  he  true  that  the  present  financial  condition 
of  transportation  agencies  is  due  to  reckless,  improvident, 
or  even  dishonest  financing  in  the  past,  it  would  he  a  mis- 
take to  tindertake  to  correct  it  by  a  policy  of  reprisal  which 
will  impair  the  usefulness  or  efficiency  of  the  carriers  upon 
which  the  welfare — the  very  life — of  the  commerce  of  the 
country  depends.  That  commerce  groivs  continually,  and 
we  have  seen,  each  year,  periods  during  which  the  avail- 
able facilities  were  sadly  lacking  in  capacity  and  efficiency 
to  properly  furnish  the  transportation  demanded. 

"This  is  in  part  due  to  the  failure  of  carriers  to  provide 
themselves  with  facilities,  in  part  to  inefficient  handling 
and  movement  of  equipment,  in  part  to  failure  of  shippers 
and  receivers  to  provide  room  and  facilities  of  their  ozvn 
sufficient  for  their  needs,  and  in  part  to  customs  that  have 
grown  up  in  some  lines  of  business  that  necessarily  cause 
serious  delay  to  cars  and  congestion  of  terminals.  Of 
course,  the  ideal  situation  would  be  one  in  which  the  car- 
riers were  ready  to  provide  all  the  equipment  needed  and 
promptly  transport  all  the  traffic  offered  at  the  time  of  the 


maximum  demand,  but  that  situation  can  be  attained  only 
by  large  additions  to  the  facilities  and  great  improvement 
in  methods.  The  added  facilities  can  be  secured  only 
through  expenditures  from  surplus  earnings  or  from, 
expansion  of  credit.  In  cither  way  the  total  cost  to  pur- 
chasers of  transportation  would  be  increased.  It  seems  to 
me  that  no  more  helpful  work  can  be  done  than  to  bring 
about  the  highest  possible  degree  of  efficiency  in  the  opera- 
tion and  utilization  of  the  facilities  nozv  possessed." 

Here  in  the  home  of  the  New  Haven  and  among  its  friends 
look  the  facts  squarely  in  the  face  and  consider  in  the  Hght  of 
Chairman  Clark's  remarks  what  is  to  your  interest  as  well  as  to 
the  interest  of  the  railroad. 

For  the  three  months  ending  September  30,  191 3,  the  New 
Haven  steam  railroad  shows,  in  net  revenue  available  for  pay- 
ment of  floating  debt,  improvements  such  as  better  stations,  elim- 
ination of  grade  crossings,  signals,  steel  cars,  etc.,  and  for 
dividends,  a  decrease  compared  with  the  same  three  months  of 
1912  of  $2,280,943.18  and  taking  all  the  companies  in  which  it 
has  a  controlling  interest  a  decrease  of  $2,412,019.75.  No  matter 
what  the  causes  in  the  past,  the  present  situation  is  serious  and 
all  who  believe  that  successful  transportation  is  as  important  as 
successful  agriculture  and  manufacturing  should  pull  together 
to  make  the  situation  better. 

Since  the  purchase  of  steamships,  trolleys,  Boston  &  Maine  and 
other  so-called  outside  interests  there  has  been  elected  to  the 
Board  of  Directors  enough  new  men  so  that  a  majority  of  the 
Board  as  now  constituted  were  not  members  when  these  acquisi- 
tions, which  are  now  so  much  criticised,  were  made.  Mr.  Hustis, 
the  new  president  of  the  company,  and  I  came  here  September  i. 

Past  and  With  no  feeling  of  criticism  of  the  past  or  of  any 
Future  men  connected  with  the  company  then  or  now,  the 
new  directors  and  officers  and  the  old  ones  are  all 
working  loyally  to  review  the  situation  and  to  do  what  is  right 
to  those  who  own  and  to  those  who  use  the  railroad,  and  to  con- 
form to  the  law  when  it  is  clear  that  the  law  has  been  trans- 
gressed, and  to  practice  the  most  rigid  economy  consistent  with 
safety  and  fair  service  to  the  public. 

New  Haven  and  Connecticut  can  help  in  this  difificult  work  by 
saying  that  time  must  be  allowed  to  solve  this  problem.  If  it  is 
necessary  or  wise  to  sell  trolleys,  steamer  lines,  railroads  and 
other  property,  such  sales  cannot  be  made  in  a  day  or  a  week  or  a 
month  or  even  a  year,  especially  at  this  time  of  halting  business. 
There  will  have  to  be  much  patient  negotiation,  and  will  it  help 


Connecticut  and  New  Eng-Iand  to  force  these  sales  so  that  there 
is  an  unreasonable  loss  and  crippling  of  the  whole  transportation 
machine?  This  problem  needs  the  thoughtful  consideration  of 
the  people  generally  as  well  as  of  the  members  of  governmental 
bodies  and  of  the  directors  and  officers  of  the  railroad,  and  reason- 
able time  should  be  given. 


The  Railroad     The     government     has     recently     reduced     the 
Burden  express   rates  and  that  reduction  means   about 

$400,000  a  year  loss  to  the  New  Haven,  all  of 
which  comes  out  of  the  net. 

The  government  has  recently  established  a  parcels  post  system 
and  increased  the  weight  limit  to  20  pounds.  For  all  the  weight 
carried  by  the  New  Haven  since  the  parcels  post  was  started  not 
one  penny  has  been  paid  by  the  government. 

Through  an  arbitration  award  under  the  federal  Newlands  Act 
the  wages  of  trainmen  have  been  increased  7  per  cent,  which 
means  more  than  $200,000  a  year,  all  out  of  the  net. 

The  New  York  Public  Service  Commission  says  that  the  com- 
^  mutation  rates  to  and  from  New  York  should  be  reduced.  The 
New  Haven  road  wants  to  give  its  commuters  the  best  service 
at  the  lowest  rate  consistent  with  efficient  operation,  but  this 
reduction,  a  very  small  sum  to  each  passenger,  means  $250,000  * 
a  year  to  the  New  Haven,  all  out  of  the  net. 

Here  are  four  examples  of  the  expressions  of  the  will  of  the 
people,  through  laws  enacted  and  agencies  created  by  them,  which 
have  a  most  serious  effect  on  the  ability  of  the  New  Haven  Com- 
pany to  obtain  funds  for  the  betterment  and  improvement  of  the 
property  and  payment  of  interest  and  reasonable  dividends,  and 
the  railroad  is  powerless  and  must  submit. 

Revenues  are  falling  and  expenses  are  rising.  Some  economies 
can  be  introduced  by  spending  money  for  bigger  engines  that  will 
move  more  cars,  but  where  is  the  money  for  these  engines, 
longer  passing  tracks,  heavier  bridges  needed,  and  enlarged 
terminals  to  be  obtained  ? 


Cheapness  of  To  illustrate  how  cheaply  the  New  Haven 
Transportation  railroad  is  now  furnishing  transportation :  For 
the  price  of  a  dozen  of  the  best  eggs — eggs 
now  selling  at  60  cents,  I  believe — the  railroad  moves  2,000  lbs. 
of  freight  44.6  miles;  for  the  cost  of  a  pound  of  lard,  quoted 
at  18  cents,  13.4  miles;  for  a  pound  of  butter,  selling  at  37 
cents,  27.5  miles,  and  for  a  bushel  of  potatoes,  costing  90  cents, 


'^'•'•^    ^    —  ^.    "•■"■^m  «•    -   ~  — T  &^  W-wm  .         -    .  ^■w..-^-'m  a    <    s&m -«>»-«   «    •m'V   •«Vi 


67  miles.  Compare  this  with  the  cost  of  carting  2,000  lbs.  through 
the  streets  of  New  Haven.  Or,  for  the  cost  of  a  dozen  eggs,  the 
railroad  will  transport  a  person  34.5  miles ;  for  the  cost  of  a 
pound  of  lard,  10.3  miles ;  for  the  cost  of  a  bushel  of  potatoes, 
51.9  miles,  or  a  pound  of  butter,  21.3  miles.  (These  figures 
based  on  average  rates  for  year  ending  June  30,  1913.)  How 
much  does  the  New  Haven  hackman  charge  for  two  or  three 
miles? 

Every  man  can  help  a  little  by  not  demanding  elaborate  service 
and  facilities  until  the  money  is  in  sight  to  provide  them ;  by 
admitting  that  some  slight  increase  in  rates  may  be  made.  It 
takes  a  very  small  increase  in  the  unit  price  to  change  the  road 
from  a  struggling  poor  one  to  one  that  can  push  forward  with 
plans  for  development  and  improvement.  For  example,  New 
Haven  is  asking  for  a  new  station,  something  much  needed  here 
and  that  directors  and  officers  are  most  anxious  to  furnish  if  they 
can  find  the  money.  Handsome  stations,  however,  produce  little 
or  no  new  business  and  the  interest,  depreciation  and  operating 
charges  are  always  much  more  than  for  the  older  stations.  It  is 
estimated  that  about  2,900,000  people  pass  in  and  out  of  the  New 
Haven  station  in  a  year.  If  each  of  those  2,900,000  persons 
should  pay  just  2  cents  as  a  service  charge  for  a  better  station — 
the  price  of  a  postage  stamp — it  would  represent  at  5  per  cent,  the 
interest  on  $1,160,000,  a  sum  that  would  help  materially  to  make 
the  much  needed  improvement. 


Nourishment,  I  have  spoken  of  the  transportation  machine  of 
not  Sympathy  Connecticut — it  is  a  good  one  with  many  loyal 
men  and  officers.  But  it  needs  nourishment. 
President  Worthington  of  the  Chicago  &  Alton  said  the  other 
day,  "Kind  words  of  sympathy  are  not  out  of  place  at  a  funeral, 
but  sympathy  is  a  poor  substitute  for  nourishment,  and  what  the 
railroads  need  now  is  nourishment  in  the  shape  of  increased 
rates."  None  of  us  want  to  attend  any  funerals,  but  the  patient 
is  not  well  and  the  people  are  doctors  that  must  help  to  cure  him. 


"Yankee  Notions"  The  manufacturing  of  Connecticut  is  won- 
derful. Here  is  the  original  home  of 
"Yankee  notions."  During  1849  an  average  of  50,731  wage 
earners,  representing  13.7  per  cent,  of  the  total  population  at  that 
day,  were  employed  in  manufacturing.  This  ratio  has  steadily 
increased  until,  in  1909,  there  was  an  average  of  210,792  wage 
earners,  comprising  18.9  per  cent,  of  the  total  population,  engaged 

8 


in  manufacturing.  If  there  be  included  with  the  wage  earners 
other  persons  occupying  salaried  and  official  positions,  there  were 
233,871  persons,  representing  20.9  per  cent,  of  the  total  popula- 
tion, engaged  in  manufacturing.  By  manufacturers  in  1909, 
according  to  the  13th  Census,  is  meant  "manufacturing  estab- 
lishments conducted  under  what  is  known  as  the  factory  system, 
excluding  neighborhood,  household  and  hand  industries."  It  also 
excludes  establishments  which  were  idle  during  the  entire  year 
or  which  had  a  value  of  product  less  than  $500. 


Agriculture  But  what  has  the  intelligence,  energy  and  capital 
of  Connecticut  accomplished  for  agriculture? 
There  is.no  record  of  the  number  of  people  occupied  in  agri- 
culture, but  the  Census  reports  26,815  farm  operators  in  1910. 
These  do  not  include  farm  laborers  or  "hired  men,"  or  members 
of  farmers'  families  who  assist  in  the  work  of  the  farm.  An 
indication  of  the  agricultural  population  may  be  had  from  the 
percentage  of  the  whole  population  living  in  agricultural  com- 
munities, that  is,  in  towns  of  less  than  2500  inhabitants  each.  The 
number  of.  such  people  in  1910  was  114,917,  equal  to  10.3  per 
cent,  of  the  whole  population. 

The  contrast  between  the  development  of  manufacturing  and 
of  agriculture  in  Connecticut  may  be  further  illustrated  by  the 
fact  that  the  value  added  to  the  material  of  manufacture  by  the 
industries  of  the  state  in  1909  amounted  to  $233,013,000,  while 
the  value  of  agricultural  products,  including  some  unavoidable 
duplications  in  the  Census  reports  in  the  value  of  certain  farm 
products,  was  only  $37,000,000. 


Connecticut  This  general  description  of  the  relative  unim- 
and  Denmark  portance  of  agriculture  in  Connecticut  suggests 
that  the  citizens  of  this  state  should  encourage 
an  increased  production  of  food  products  within  the  state.  The 
importance  of  intensified  agriculture  in  Connecticut  in  checking 
the  increased  cost  of  living  in  the  towns  and  cities  is  something 
that  deserves  the  most  careful  study.  It  may  be  helpful  to  com- 
pare the  results  in  Connecticut  with  those  in  some  countries  of 
comparable  size  and  density  of  population  and  similar  manufac- 
turing development.  Such  a  comparison  can  be  made  with 
Denmark. 

DENMARK  CONNECTICUT 

Area  sq.  miles 14,827  4,820 

Population    2,737,000  1,115,000 

Per  sq.  mile 185  231 


The  last  census  figures  for  Denmark  shows  that  there  were 
317,000  persons  engaged  in  manufacturing,  or  about  12  per  cent, 
of  the  population.  Of  these  nearly  7  per  cent,  were  engaged  in 
so  called  household  industries,  with  which  we  have  nothing  to 
compare,  so  it  will  be  seen  that  there  is  not  as  large  a  proportion 
of  the  population  of  Denmark  engaged  in  manufacturing  as  in 
Connecticut. 

Some  indication  of  the  attention,  however,  which  Denmark 
gives  to  agriculture  as  compared  with  Connecticut,  is  shown  by 
the  fact  that  34  per  cent,  of  its  population  in  the  last  census  is 
classed  as  "agricultural,"  as  compared  to  the  10  per  cent.  here. 
Again,  in  Denmark  60  per  cent,  of  the  popiilation  live  in  rural 
communities,  as  compared  with  10  per  cent,  in  Connecticut.  The 
attention  that  has  always  been  given  to  agriculture  in  Denmark 
enables  that  nation  pretty  nearly  to  feed  itself  and  to 'export  a 
large  amount  of  dairy  products.  This  is  shown  by  the  percent- 
ages of  the  average  annual  consumption  of  agricultural  products 
that  is  supplied  by  home  production : — 

Rye 84.8  per  cent. 

Wheat    46.5 

Barley    97-2 

Oats   83.4 


Of  the  total  value  of  farm  crops  raised  in  Connecticut  in  1909 
only  9.1  per  cent,  was  contributed  by  cereals,  while  32.1  per  cent, 
was  contributed  by  hay  and  forage,  19.6  per  cent,  by  tobacco  and 
17. 1  per  cent,  by  potatoes  and  other  vegetables.  The  remaining 
22  per  cent,  consisting  mostly  of  forest  products,  fruits  and  nuts 
and  nursery  products.  This  indicates  the  general  character  of 
Connecticut's  agriculture,  which  is  further  shown  in  the  fact  that 
87  out  of  every  100  Connecticut  farmers  produced  hay  and 
forage,  80  out  of  every  100  raised  potatoes,  JJ  out  of  every  100 
produced  other  vegetables,  75  out  of  every  100  produced  orchard 
fruits,  and  61  out  of  every  100  raised  com. 

The  area  and  production  of  various  crops  in  Denmark  and 
Connecticut  may  be  compared  as  follows : — 


Percentage  of  Farm  Areas 

DENMARK  CONNECTICUT 

Cereals  and  farinaceous   ....     38.7  per  cent.  3.4  per  cent. 

Hay  and  forage    10.2      "       "  18.8 

Potatoes    1.9      "       "  II      "       " 


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Dairy  Products 

TOTAL 
CONNECTICUT  DENMARK  PER    CAPITA 

Milk  ..  45,749,849^^1.*  908,350,000  gal.  4.1  gal.*  336.2  gal. 
Butter..  3,498,551  lbs.*  209,000,000  lbs.  3.1  lbs.*  81.2  lbs. 
Cheese.  79,156  lbs.*       33,000,000  lbs.        .07  lbs.*      12.8  lbs. 

Why  cannot  Connecticut  do  as  well  ? 

While  the  proportion  of  the  total  land  area  of  Connecticut 
devoted  to  farming  declined  from  81  per  cent,  in  i860  to  71  per 
cent,  in  1910,  the  proportion  in  Denmark  increased  from  64  per 
cent,  in  1861  to  76  per  cent,  in  1907.  There  are  at  least  two 
reasons  for  the  success  of  Danish  agriculture.  One  is  the 
intensity  of  agricultural  effort,  and  the  other  is  the  resort  to 
co-operation  among  the  farmers.  The  average  size  of  farms 
in  Denmark  is  only  27.2  acres,  which  is  almost  exactly  one-third 
of  the  average  size  of  Connecticut  farms,  showing  the  difference 
in  the  intensity  of  the  cultivation.  One  sees  in  these  figures  one 
reason  why  Denmark  is  able  to  feed  herself.  In  Denmark  the 
farmers  have  co-operative  dairies,  co-operative  slaughter  houses 
and  co-operate  societies  to  export  live  stock  and  eggs.  Of  the 
total  milk  production  yy  per  cent,  comes  from  these  co-operative 
dairies. 

Agriculture  in  The  agricultural  situation  in  Connecticut  needs 
Connecticut  attention.    This  great  state,  undoubtedly  rich  in 

agricultural  possibilities,  whose  fields  and  up- 
lands present  wonderful  opportunities  for  the  husbandman, 
to-day  produces  but  25  per  cent,  of  what  her  people  consume. 
Her  consumption  of  food  products  amounts  to  over  $80,000,000 
a  year  and  she  produces  less  than  $20,000,000. 

To  the  kindness  of  Mr.  Wilson  H.  Lee  of  New  Haven,  who 
has  done  so  much  to  promote  agriculture  in  Connecticut,  I  am 
indebted  for  some  interesting  figures  concerning  the  agricultural 
situation. 

Since  1850,  800,000  acres  of  tillable  land  of  Connecticut  repre- 
senting in  value  over  $24,000,000  have  gone  back  to  the  untillable 
condition.  Between  the  Census  of  1900  and  1910  the  decrease 
in  tillable  land  was  8,000  acres  per  year,  representing  each 
year  taxable  property  of  $250,000.  What  does  this  8,000-acre 
decrease  each  year  mean  in  food  production?  It  represents 
400,000  bushels  of  corn,  worth  not  less  than  $250,000 ;  or  32,000 
tons  of  alfalfa  hay,  worth  not  less  than  $640,000;  or  240,000 
bushels  of  wheat  representing  about  $230,000.  This  same  land 
in  corn  and  alfalfa  would  feed  each  year  4,000  cows;    it  would 

*  From  census  reports. 

12 


fatten  3,000  head  of  beef  stock;  or  would  keep  20,000  sheep  or 
15,000  hogs.  This  is  the  loss  each  year.  Less  than  10  per  cent. 
of  the  total  area  is  under  active  cultivation,  and  only  20  per  cent, 
of  the  total  area  is  under  any  tillage  whatever. 

Every  ten  years  there  is  enough  land  in  Connecticut  going 
back  to  the  wild  condition,  to  support,  if  properly  farmed,  a  city 
the  size  of  New  Haven,  Hartford  or  Bridgeport. 

Every  five  years  there  is  enough  land  in  Connecticut  going 
back  to  support  a  city  like  Waterbury,  New  Britain,  New  Lon- 
don, Norwich  and  Danbury. 

Since  1850,  enough  land  in  Connecticut  has  gone  back  to  the 
uncultivated  condition  to  support,  if  properly  cultivated,  the 
present  population  of  the  State. 

There  is  sufficient  land  now  under  tillage  in  Connecticut  to 
feed  three  times  its  present  population,  if  it  were  properly  culti- 
vated. 

All  of  the  farm  land  of  Connecticut  properly  cultivated  would 
support  a  population  of  5,000,000  people.  In  view  of  these  facts, 
is  there  anything  so  important  to  Connecticut  manufacturers  as 
the  condition  of  its  agricultural  lands?  Certainly  to  one  con- 
nected with  transportation  this  is  most  important.  Agriculture, 
transportation  and  manufacturing  are  so  closely  related  that  a 
decrease  in  farm  production  means  an  increase  in  the  cost  of 
living  and  this  must  have  a  decided  bearing  upon  the  wage  ques- 
tion and  it  thus  affects  the  railroad  and  the  manufacturer.  The 
basis  of  the  cost  of  producing  all  meats  is  the  price  of  corn  and 
alfalfa.  The  Census  reports  show  that  Connecticut  can  raise  on 
an  average  as  many  bushels  of  corn  per  acre  as  any  state  in  the 
Union.  The  experience  of  Mr.  Lee  shows  that  Connecticut  land 
can  produce  as  many  tons  of  alfalfa  hay  per  acre  as  any  in  the 
United  States.  Corn  and  alfalfa  will  produce  pork,  beef,  milk, 
poultry  and  eggs  cheaper  than  any  other  combination  of  food 
stuffs.  Under  these  circumstances,  why  should  not  Connecticut 
raise  its  own  corn,  its  own  alfalfa,  its  own  pork,  beef,  milk, 
poultry  and  eggs  ?  According  to  government  statistics,  the  net 
return  from  growing  'an  acre  of  corn  in  Connecticut  during 
the  year  191 1  was  almost  exactly  the  same  as  in  Iowa -and  in 
Illinois,  the  two  great  corn-growing  states  of  the  Union.  Yet  it 
costs  170  per  cent,  more  to  plant,  cultivate  and  harvest  an  acre 
of  corn  in  Connecticut  than  it  does  in  Iowa  and  Illinois.  This 
shows  what  can  be  done  with  a  proper  handling  of  the  soil. 

Co-operation        A  movement  back  to  the  country  has  started, 

and  the  Farm     but  it  is  a  feeble  stream  that  flows  toward  the 

farm  as  yet.    The  salvation  of  the  farmer  should 

lie  in  co-operation  in  the  co-operative  marketing  of  his  products. 

13 


•  **'.'  '\^7  %%•.¥»,  7"^^  *%.*»T«  /^  *  A  V"**'^*^^  M  A  A'*-*  m-WM  f  m  m^'w^'^^-'-r^m  ■ 


He  should  cease  being  jealous  and  distrustful  of  his  neighbor 
and  work  with  him  in  securing  the  best  market.  The  farmer 
is  not  a  merchant,  but  through  co-operation  he  can  secure  mer- 
chandizing talent,  which,  combined  with  the  advantages  that  are 
his  through  his  proximity  to  the  greatest  markets  in  the  country, 
should  place  him  far  ahead  of  his  competitor  elsewhere. 

In  Connecticut  already  there  are  conspicuous  examples  of  the 
wealth  waiting  in  the  land  for  him  who  applies  intelligent 
methods.  The  remarkable  results  accomplished  by  John  H.  Hale, 
Connecticut's  peach  king,  are  well  known.  This  year  Mr.  Hale 
shipped  143  carloads  of  peaches  from  his  Glastonbury  farm.  His 
success  should  be  of  compelling  interest  to  all  who  love  the  great 
outdoors  and  seek  material  welfare  as  well  as  health  in  the  open 
air. 

The  transportation  system  which  I  represent  can  aid  and  will 
aid  in  bringing  to  the  farms  the  prosperity  which  should  be  theirs. 
Lately  an  effort  has  been  made  to  provide  the  farmers  with  a 
supply  of  cheap  lime,  one  of  nature's  great  restoratives,  whose 
use  here  will  help  to  bring  back  the  fertility  of  the  farms.  By 
the  proper  liming  of  the  soil  it  is  estimated  that  the  farm  pro- 
duction can  be  increased  100  per  cent.  By  unearthing  and  mak- 
ing available  a  supply  of  lime  at  West  Stockbridge,  the  Industrial 
Bureau  of  the  New  England  Lines  has  paved  the  way  for  such 
results.  Within  thirty  days,  it  is  expected,  shipments  of  lime  will 
begin,  at  a  cost  to  the  farmer  of  but  $1.50  per  ton,  F.  O.  B.  at  the 
ground  and  $2.50  to  $2.75  per  ton  at  the  farm.  The  need  of 
careful  soil  analysis  in  order  to  produce  efficiency  in  agriculture 
is  not  confined  to  New  England.  In  the  states  of  Minnesota 
and  North  Dakota,  the  Northern  Pacific  recently  laid  out  fifty 
five-acre  plots,  in  order  to  demonstrate  to  the  farmer  how  greatly 
the  yield  could  be  increased  by  proper  methods.  This  increase 
was  as  high  as  37  per  cent,  in  the  case  of  wheat  and  60  per  cent, 
in  the  case  of  barley. 


Trolley  an  Aid   One  of  the  most  effective  agencies  by  which 
to  Farmers  prosperity  can  be  brought  to  the  fanns  is  the 

trolley.  There  are  now  in  operation  in  this 
state  384  miles  of  trolley  express  routes,  averaging  two  cars  a 
day  and  furnishing  an  express  service  to  the  fanner.  To-day 
the  farmer  living  along  these  lines  can  connect  with  the  great 
highways  of  commerce  from  his  own  front  door.  But  the  Con- 
necticut farmer  is  naturally  conservative.  He  is  too  apt  to 
think  of  the  $2.00  that  he  can  save  by  hauling  his  apples  himself, 
though  it  means  a  whole  day  on  the  road  and  just  so  much 
productive    labor    lost    to    the    farm.      Potentially,    the    trolleys 

14 


through  the  farming  communities  may  mean  even  more  than  this 
to  the  farmer.  It  is  entirely  within  the  realm  of  possibilities  to 
utilize  the  same  current  now  moving  his  goods  in  furnishing 
him  power  for  co-operative  refrigerating  plants.  This  is  only 
one  of  the  many  possibilities  in  the  agricultural  development  of 
this  state. 

In  speaking  of  New  England  an  agricultural  writer  said 
recently  that  "God  has  made  New  England  the  potential  orchard 
of  the  world."  The  tales  one  hears  of  the  apple  possibilities  of 
New  England  indicate  that  New  England's  deserved  preeminence 
as  an  apple  growing  country  will  be  restored. 

It  is  evident  from  such  orchards  as  Mr.  Hale's  that  some  of 
Connecticut's  poorest  land  can  be  made  profitable. 


Transportation     Connecticut  is  a  little  better  off  than  Denmark, 
in  Denmark  so  far  as  its  transportation  facilities  go.     In 

Denmark  there  are  14.8  miles  of  railroad  per 
100  sq.  miles  and  .79  miles  per  1,000  population.  Connecticut 
has  20.7  miles  of  railroad  for  every  100  sq.  miles  and  .87  miles 
per  every  1,000  population. 

In  Denmark  the  average  revenue  per  passenger  mile  is  i.io 
as  against  1.73  in  Connecticut,  but  the  service  here  is  of  a  much 
better  type.    Freight  rates,  however,  are  lower  in  Connecticut. 


AVERAGE    REVEXUE 

AVERAGE    HAUL 

PER   TON    MILE 

MILES 

CENTS 

Danish  state  railways   .  . . 

54-5     • 

1.99 

Connecticut  railways  .... 

82.7 

1.36 

It  is  of  interest  to  note  that  the  average  load  per  car  in  Den- 
mark is  only  3.79  tons,  while  the  average  carload  of  the  New 
Haven  in  1912  was  15.5  tons. 

Gross  In  dealing  with  railroad  regulation  and  rate  limitations 

and  Net  much  weight  is  given  to  the  fact  that  gross  earnings 
of  the  railroads  show  increases,  leaving  one  to  infer 
that  such  increase  in  gross  means  financial  success.  This  is  not 
necessarily  true.  Not  only  has  revenue  per  unit  of  servdce 
decreased  in  recent  years,  but  expenses  have  even  increased.  To 
illustrate :  The  September  statement  of  the  Union  Pacific  showed 
a  decrease  in  net  income  of  13.8  per  cent.,  the  Southern  Pacific 
a  decrease  of  16.2  per  cent.,  the  St.  Paul  19.7  per  cent,  and  the 
Erie  20.2  per  cent.,  despite  the  fact  that  in  gross  income  the 
Union  Pacific  showed  an  increase  of  i.i  per  cent.,  the  Southern 
Pacific  an  increase  of  .4  per  cent.,  the  St.  Paul  .7  per  cent,  and 

15 


the  Erie  .5  per  cent.  So  it  may  be  observed  tbat  other  railroads 
are  suffering  as  well  as  the  New  York,  New  Haven  &  Hartford. 
That  thoughtful  men  should  recognize  these  conditions  and  dis- 
play some  activity  to  relieve  a  situation  which  is  dangerous  for 
general  business  as  well  as  for  the  railroads,  is  evident  from  these 
figures. 

The  railroad  is  a  distributing  agent  as  well  as  a  collecting  one. 
It  collects  from  the  people  money  for  transporting  them  and  their 
goods ;  it  distributes  most  this  money  in  the  form  of  wages,  taxes, 
and  in  payments  for  materials  and  supplies.  But  year  after  year 
the  difference  between  its  collections  and  distributions  has  been 
growing  less  until  the  margin  between  the  two  is  not  enough  to 
provide  the  funds  needed  to  make  improvements  and  to  attract 
new  money  to  the  business  at  reasonable  rates  of  interest.  This 
is  due  largely  to  the  increased  cost  of  labor  and  material.  Here 
is  one  example  of  a  railroad's  expenses.  In  the  year  just  passed 
nearly  $1,200,000  of  the  New  Haven's  revenues  went  to  people 
living  in  its  own  territory  for  ties  and  fence  posts.  In  five  years 
the  amount  would  be  between  $5,000,000  and  $6,000,000.  The 
money  expended  for  this  purpose  is  not  paid  to  a  few  large 
lumber  companies.  It  goes  to  many  people  in  small  amounts, 
the  payments  running  all  the  way  from  $12  to  $10,000.  Here  then 
is  one  way  that  a  railroad's  revenue  flows  back  to  the  people, 
and  with  the  necessity  of  better  track  and  ties  to  support  heavier 
rails  and  equipment  it  represents  an  increasing  item  of  railroad 
expenditure. 


Government  Railroad  regulation  may  be  necessary  to  prevent 
Regulation  unjust  discrimination  between  individuals,  locali- 
ties and  commodities,  and  to  prevent  unreasonable 
charges.  But  it  is  to  be  questioned  if  any  sound  principle  of 
economics  or  governmental  policy  underlies  the  theory  that 
regulation  should  go  further  and  deny  to  a  railroad  the  right  to 
fix  for  its  service  charges  that  are  not  unduly  discriminatory  or 
unreasonably  high,  as  measured  by  the  service  performed.  Does 
this  not  retard  railroad  development  and  tend  to  make  it  impos- 
sible to  provide  increased  facilities  necessary  for  expanding 
commerce,  and  does  it  not  point  towards  government  ownership? 
Andrew  D.  White,  who,  as  Minister  and  Ambassador,  succes- 
sively represented  his  country  at  St.  Petersburg  and  Berlin  for 
many  years,  as  far  back  as  1905,  spoke  of  government  ownership 
in  those  two  countries  as  follows: 

"Persons  who  clamor  for  governmental  control  of 
American  raikvays  should  visit  Germany,  and  above  all 
Russia,  to  see  how  such  control  results.     In  Germany  its 

16 


•  / 


defects  are  evident  enough;  people  are  made  to  travel  in 
carriages  wJiich  our  main  lines  woidd  not  think  of  using, 
and  zvith  a  lack  of  conveniences  which  with  us  zvoidd  pro- 
voke a  revolt;  but  the  most  amazing  thing  about  this 
administration  in  Russia  is  to  see  how,  after  all  this  vast 
expenditure,  the  whole  atmosphere  of  the  country  seems  to 
paralyze  energy.  During  my  stay  at  St.  Petersburg  I 
traveled  over  the  line  between  that  city  and  Berlin  six  or 
eight  times,  and  though  there  was  usually  but  one  express 
train  a  day,  I  never  saw  more  than  twenty  or  thirty  through 
passengers.  When  one  bears  in  mind  the  fact  that  this 
road  is  the  main  artery  connecting  one  hundred  and  tzventy 
millions  of  people  at  one  end  zvith  over  two  hundred 
millions  at  the  other,  this  seems  amazing;  but  still  more  so 
when  one  considers  that  in  the  United  States  with  a  popu- 
lation of,  say,  eighty  millions  in  all,  we  have  five  great 
trunk  lines  across  the  continent,  each  running  large  express 
trains  several  times  a  day." 

Mr.  White  further  says : 

"In  coming  and  going  on  the  Moscow  railzvay  I  found, 
as  in  other  parts  of  Europe,  that  governmental  control  of 
railzvays  does  not  at  all  mean  better  accommodations  or 
lower  fares  than  when  such  works  are  under  individual 
control.  The  prices  for  travel,  as  well  as  for  sleeping 
berths,  were  much  higher  on  these  lines,  owned  by  the 
government,  than  on  any  of  our  main  trunk  lines  in 
America,  which  are  controlled  by  private  corporations,  and 
the  accommodations  were  never  of  a  high  order,  and  some- 
times intolerable." 


Public  Signs  are  not  wanting  that  there  is  already  an  avvak- 

Should  ening  on  the  part  of  business  interests  to  the  fact 

Co-operate  that  the  railroads  must  be  in  a  position  to  obtain 
sufficient  new  capital  to  increase  facilities  if  busi- 
ness in  general  is  to  move  forward  in  this  country.  This  is  not 
the  need  of  the  railroad  alone;  the  public  too  must  have  this 
investment  made. 


Increased     People  who  are  not  informed  sometimes  think  that 
Rates  foreign  railroads  do  much  better  than  ours  in  every 

Abroad         way  and   that   we  can   learn    from   them.     Foreign 
nations   are  more  reasonable   in  their   treatment  of 
the  railroads  so  far  as  rates  are  concerned.     An  eminent  French 

17 


economist,  M.  Clement  Colson,  formerly  Director  of  Rail- 
ways in  France,  recently  pointed  out  that  the  selling  price  of 
railroad  industry  had  not  followed  the  general  rise  in  price  move- 
ment, under  which,  however,  the  railroad  has  had  to  pay  increased 
prices  for  all  the  things  which  it  buys,  including  wages.  While 
the  world  is  witnessing  an  almost  universal  increase,  ascribed  by 
this  authority  to  the  increased  gold  production,  railroad  rates  have 
either  remained  stationary  or  have  been  reduced.  Recently,  how- 
ever, a  number  of  countries  have  found  it  necessary  because  of 
this  economic  condition  to  raise  railroad  rates,  and  this  is  true 
even  in  countries  having  government  ownership.  In  England 
increases  have  just  been  made  equivalent  to  a  general  surcharge 
of  4  per  cent,  on  all  traffic.  The  British  government  at  the 
same  time  agreed  not  to  interpose  any  legal  obstacles  if  the  rail- 
roads found  it  necessary  to  resist  demands  of  their  employees 
for  more  wages  as  the  result  of  the  increase  in  rates.  In  Italy, 
to  offset  an  increase  in  wages,  an  increase  in  fares  has  been 
made  amounting  to  3  per  cent,  of  the  passenger  receipts  and 
an  increase  in  freight  charges  amounting  to  i  per  cent,  of  the 
receipts.  In  Switzerland  rates  also  have  been  increased.  In 
Belgium  rates  on  certain  coal  shipments  have  been  raised, 
following  an  increase  in  wages.  Denmark,  two  years  ago 
put  in  effect  a  new  tariff,  increasing  railroad  revenues  about  9 
per  cent.  Three  years  ago  the  railroad  revenues  of  Austria  were 
increased  very  materially  by  a  new  tariff.  In  short,  as  the  French 
economist  points  out,  it  is  now  generally  agreed  that  the  old  idea 
that  railroad  rates  must  always  continue  to  decline  is  contrary  to 
the  fact. 

Here  in  New  England  co-operation  and  a  sane  public  opinion  is 
imperative  if  the  transportation  problem  is  to  be  worked  out  suc- 
cessfully. It  is  for  such  bodies  as  this  to  co-operate  among  them- 
selves and  with  the  railroad,  to  secure  for  the  railroad  such  a 
return  as  to  make  possible  the  facilities  needed,  and  to  stimulate 
rather  than  impede  commercial  development.  New  England's 
position  at  present  is  a  critical  one.  It  must  get  its  products  to 
the  west  and  south  and  until  it  raises  more  food  must  bring  it  in 
if  it  is  to  prosper  and  go  forward.  To  do  this  it  must  have  an 
adequate  transportation  system.  To  stir  up  animosities,  to  con- 
fuse the  public  mind  and  to  deal  unjustly  with  the  railroad,  places 
unnecessary  obstacles  in  the  pathway  of  New  England's  progress. 
Let  us  be  fair  and  work  together,  shoulder  to  shoulder,  for  a  self- 
sustaining  better  and  more  prosperous  New  England. 

There  are  three  things  that  are  absolutely  essential  if  the  rail- 
road situation  in  New  England  is  to  be  what  all  desire — 

First.  There  must  be  confidence,  loyalty,  and  co-operation 
between  officers  and  men  all  along  the  line  and  a  good  esprit  de 


18 


corps.  This  is  now  here  in  part  and  by  careful  organization  and 
work  the  officers  hope  and  believe  they  can  increase  this  spirit. 

Second.  There  must  be  confidence,  frankness  and  reason 
between  the  great  shipping  and  travelling  public  and  the  railroad 
so  that  differences  of  opinion  may  be  discussed  in  a  calm,  business-' 
like  way  with  a  willingness  on  the  part  of  each  to  consider  the 
viewpoint  of  the  other. 

Third.  There  must  be  open-minded,  fair  and  frank  relations 
between  all  the  different  public  bodies  with  which  the  railroad  has 
to  deal  so  constantly — commissions,  city  councils,  legislatures. 
The  railroad  is  a  servant  of  the  people  and  so  are  these  govern- 
mental agencies — and  both  must  act  with  prudence  and  remember 
that  unfair  and  dishonest  treatment  of  people,  communities  or 
property  will  in  the  long  run  hurt  the  people  as  a  whole.  I 
believe  thoroughly  in  the  future  of  New  England  and  in  the 
ultimate  success  of  her  transportation  system.  The  New  Haven 
is  a  great  property :  it  is  in  trouble  now,  but  patience,  hard  work 
and  fair  treatment  by  all  should  enable  it  to  give  the  service  the 
people  want  and  at  the  same  time  permit  a  good  return  to  the 
owners. 


How  to     The  map  shows  Connecticut  as  the  base  of  the  New 
Help  England  States  and  the  home  of  the  New  Haven  road. 

Let  Connecticut  set  a  good  example  and  encourage 
agriculture  as  the  basis  of  successful  industry  of  all  forms  and 
reasonable  living  conditions  for  the  wage  earners  in  the  cities  and 
towns.  And  let  Connecticut  also  raise  her  voice  and  lead  off  in 
the  Governors'  Conference  and  other  councils  of  this  kind  by 
asking  for  fair  treatment  of  the  road  and  a  display  of  patience, 
moderation  and  common  sense  so  that  these  improved  relations 
may  be  brought  about,  and  the  transportation  machine  of  New 
England  placed  upon  an  efficient  and  economical  basis  for  her 
future  needs. 


19 


^^M,*S.  ^ 


i 


